Microsoft’s New Commerce Experience has reached Microsoft 365, Dynamics 365, and Power Platform licensing in the Cloud Solution Provider programme – and there are significant changes coming in 2022.

Here at BUI, we’re already hard at work, helping our cloud customers to navigate the New Commerce Experience successfully.

We’re also fielding queries from business teams who are struggling to understand Microsoft’s New Commerce Experience. We hear you. And that’s why we’re tackling your most common questions today. You asked, and we’re answering. Let’s take a closer look.

Q. What is the New Commerce Experience?

A. The New Commerce Experience (NCE) is Microsoft’s integrated commercial platform, designed to simplify the sale of its cloud products and services globally.

Microsoft created the NCE to streamline and standardise licensing via Cloud Solution Providers (CSPs), Enterprise Agreements (EAs), and its own online portals – so that customers experience similar pricing and terms across a number of sales models.

In 2019, Microsoft implemented the NCE for CSPs, starting with Microsoft Azure. And since then, the NCE has been rolled out in stages. Today, customers with Azure Plan subscriptions – as well as those who buy Azure Reserved Instances, perpetual software, server software, and third-party apps and offers through CSPs – transact through the NCE platform.

In January 2022, Microsoft expanded the NCE to include commercial seat-based subscriptions for Microsoft 365, Dynamics 365, and Power Platform in the CSP programme – and introduced new offers with new rules.

“The New Commerce Experience is the present and future of how Microsoft sells cloud products and services to customers, both directly and through partners… It will also make the selling process, requirements, and capabilities much more consistent across the Microsoft sales ecosystem.” – MICROSOFT

Q. What does the New Commerce Experience mean for my business?

A. Simply put, the NCE will change the way that you purchase Microsoft 365 (M365), Dynamics 365 (D365), and Power Platform subscriptions from your CSP. There are three key differences between the legacy CSP experience you’re familiar with and the NCE. It’s important to note:

1. The subscription options. Under the NCE, there are monthly and annual subscription options to help you cater for fixed and fluid staffing scenarios within your business.

  • Monthly subscriptions give you the freedom to purchase licences on a month-to-month basis as needed, and the flexibility to decrease the number of licences at the end of the month. There is, however, a 20% price premium for month-to-month subscriptions.
  • Annual (12 months) and Multi-Year (36 months) subscriptions provide price protection for longer term commitments. You will be able to add licences during the term, but you will only be able to decrease licence counts at the end of the term.

2. The cancellation policy. In the legacy CSP experience, an option to cancel a subscription wasn’t available. Instead, your CSP could suspend a subscription to stop the billing for it, and the subscription would expire if not renewed at the end of the term.

  • Under the NCE, a seat-based subscription of any term length can be cancelled – BUT only within the first 72 hours of the term, with a prorated refund (calculated daily). After the first 72 hours, no cancellation is possible, and billing will continue for the remainder of the term.
  • The cancellation period of 72 hours includes all days of the week, and doesn’t exclude weekends or holidays. So, if a subscription is purchased on a Friday, you will have until the following Monday to cancel it.

3. The seat reduction policy. Seat counts on NCE subscriptions can be reduced – BUT only within the first 72 hours of the term. After the first 72 hours, no seat reductions are possible. It’s therefore critical to ensure that your subscriptions and seat counts are accurate from the start of the agreement.

Q. Why should I have my subscriptions moved to the NCE?

A. Microsoft has made it clear that the NCE platform will soon be the platform on which all CSP products and services are provisioned.

During the months in which the NCE and the legacy CSP experience are available side by side, your CSP will initiate the process of moving your existing subscriptions to the NCE platform, and start placing new subscriptions via the NCE in preparation for the eventual decommissioning of the legacy CSP experience.

Q. When will my subscriptions on the current platform be required to be moved to the NCE?

A. From 10 March 2022, CSPs will no longer be able to order new subscriptions on the legacy CSP platform. From 1 July 2022, CSPs will no longer be able to renew existing subscriptions on the legacy CSP platform. You should engage directly with your CSP to determine the best schedule for your transition to the NCE. Your licensing strategy, your business needs, and your budget (among other factors) should be considered during this discussion.

Q. What other dates do I need to know about?

A. Microsoft is clear about the NCE timelines, and there are several dates to diarise:

1 March 2022. Although unrelated to the New Commerce Experience, Microsoft’s previously announced commercial price increases for Microsoft 365 come into effect at the beginning of March this year. If you have Microsoft 365 Business Basic, Microsoft 365 Business Premium, Office 365 E1, Office 365 E3, Office 365 E5, or Microsoft 365 E3 subscriptions in play, then you’ll need to consider the new pricing as part of your planning for the NCE.

10 March 2022. All new subscriptions must be purchased via the NCE platform from 10 March 2022 onward. Your CSP will no longer be able to order new subscriptions on the legacy CSP platform.

1 July 2022. Starting in July, all renewals must occur via the NCE platform. Your CSP will no longer be able to renew existing subscriptions on the legacy CSP platform.

From October 2022, all customers will have to make purchases via the NCE platform.

In June 2023, all legacy CSP subscriptions will be retired.

Now’s the time to review your subscriptions

If you rely on Microsoft 365, Dynamics 365, and Power Platform in your day-to-day business environment, then it’s important to evaluate your current subscriptions in line with the New Commerce Experience timelines.

How many licences do you have? How many licences do you actually need? Are you paying a premium for features that aren’t being used? What is the best time for your business to transition from the legacy CSP experience to the NCE? What Microsoft NCE promotions can you take advantage of right now? Consider these questions with your CSP as you review the cloud solutions that enable workplace productivity for your teams.

Need help? We can optimise your Microsoft licensing.

As a Microsoft Azure Expert MSP and Gold Microsoft Partner with 16 competencies and 9 advanced specialisations, BUI is a recognised cloud and security leader.

Let’s talk about streamlining your Microsoft licences, refining your purchasing strategy, and maximising your cost savings for this year and the years ahead.

Understanding Microsoft’s New Commerce Experience

Our commitment to ensuring business continuity – even in the face of disruption – has been recognised by the British Standards Institution.

We’re proud to announce that we have earned ISO 22301 certification after a rigorous independent evaluation by the British Standards Institution last month. The ISO 22301 badge is recognised internationally and sets the standard for Business Continuity Management Systems.

“This certification highlights the strength of our company’s business continuity strategy,” says Gayle Roseveare, our Chief Operating Officer (COO) here at BUI. “It proves to our staff, partners and customers that we’re prepared for any eventuality – and that we’re able to serve and support the people who rely on us, no matter what. Our ISO 22301 badge represents our commitment to effective risk management, organisational resilience, and reliability – even in the face of disruption,” notes Roseveare.

What is ISO 22301?

Developed by the International Organisation for Standardisation, ISO 22301 lays out a framework to help companies like ours create, implement, and maintain a comprehensive business continuity management system (BCMS). The main aim is to ensure that companies are protected against unforeseen business challenges and equipped to respond and recover when such events do occur.

“BUI is a global company with offices in East Africa, South Africa, the United Kingdom and the United States,” says Roseveare. “On any given day, our teams are provisioning cloud infrastructure, monitoring and securing digital environments, and delivering a wide range of IT services to customers. We operate around the world and around the clock – and we have to be able to do so continuously. Whether there are power outages in South Africa or internet connectivity issues in Europe, we need to ensure we can deliver uninterrupted services to our customers. Our ISO 22301 certificate validates our planning for disruptive incidents and disasters.”

Why is ISO 22301 certification important?

“In an unpredictable business climate, it pays to be prepared,” explains Dhiren Boodhia, our Group Governance and Compliance Manager. “And that goes double for service providers like us. To earn our ISO 22301 certificate, we had to demonstrate that we have a thorough BCMS in place; that the staff in our various offices understand the BCMS and the processes required to sustain it; and that we are focused on maintaining business continuity and sustainability regardless of market uncertainties and challenges. I think the ISO 22301 badge is an important differentiator – especially when customers are looking for a steadfast technology ally that is as dedicated to legal and regulatory compliance as it is to protecting the business resources of the organisations it works with,” he says.

For customers who choose to partner with BUI, there are five key benefits, adds Boodhia.

  1. Consistency. ISO 22301 emphasises the importance of consistency when it comes to best practices and business processes. “We’ve been assessed on our capabilities around risk assessment and impact analysis as well as our strategies for mitigating disruptions. Our teams excelled in every area – and that means our customers can expect the highest standards of service and care from everyone at BUI,” says Boodhia.
  2. Data protection. With the cyber threat landscape evolving so quickly, data privacy and data security are critical considerations for customers. “ISO 22301 includes extensive conditions for data protection and data recovery,” notes Boodhia. “Our ISO 22301 badge, together with the ISO 27001 certification we achieved for our commitment to information security management, should give our customers even greater confidence: we handle all data respectfully and safely.
  3. Faster recovery. “ISO 22301 requires us to have a holistic strategy in place to deal with disruptions and disasters. It also mandates a detailed recovery plan to ensure that downtime is minimised – for our company and for the business organisations we serve,” says Boodhia. “BUI customers can be assured that, in the event of an issue, our teams will follow a step-by-step framework to resolve the problem as quickly as possible.”
  4. Greater compliance. By achieving ISO 22301 certification, BUI has met the global benchmark for business continuity management, adds Boodhia. “Many of our customers operate in highly regulated industries, like financial services and healthcare, and they must adhere to their own standards in terms of the services they provide to their clients. BUI is committed to maintaining essential functions during adverse circumstances – and that’s a big plus for customers who have strict compliance obligations.”
  5. Peace of mind. ISO 22301 calls for certified organisations to update and improve their business continuity processes to ensure that their strategies remain current, relevant, and effective. “We’re obligated to adapt and enhance our BCMS plan as our company grows,” explains Boodhia. “It’s good news for our customers because it means we’re always prepared. Whatever happens, the BUI services and solutions that so many businesses utilise every day will be available.”

Our commitment to your success

ISO 22301 may be our newest certification, but it’s also a testament to our unwavering focus on our customers, notes our COO. “To be a dependable, reliable technology partner, you need to anticipate the challenges you’re going to face and then take the necessary steps to ensure that you can address those challenges as soon as they arise. We’re being proactive today so that we’re ready for tomorrow – and always on hand to help our customers be productive, secure, and resilient,” Roseveare concludes.

Do you have a disaster recovery plan in place?

Our experts can help you craft a comprehensive backup strategy aligned with your business structure, your IT resources, your budget, and your goals.

Contact our team to arrange a discussion today.

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